That is correct. If you look at personal taxation from a Newfoundland and Labradorian perspective, nobody knows about paying tax the way we know about paying tax. If it's a question of capacity and how much we can afford to give, we are more than definitely giving our fair share.
When we look at the tax structure nationally, on a provincial basis we look at Newfoundland and Labrador as most certainly being tapped out in terms of what it can contribute. So when we look at programs and the ability to contribute, the question is who's paying for this? The reality is that it's being paid for by the individuals and businesses.
It's very important to look at the tax structure of the personal tax and at what threshold Canadians are paying. If you compare ours with the U.S. model, for example, it's a very real issue, because reducing personal income taxes has a definite effect on disposable income, savings for retirement, savings for education. This trickles right throughout the whole economy. When we turn to capacity and who has it, if we look at the federal government and the surpluses that are run year after year, the question is, are you collecting on a level that's appropriate?
The GST cut is most definitely welcomed, as is any tax cut. GST is a consumption tax, and people arguably in some cases have the option whether to pay it or not. Everyone has to pay provincial personal and federal taxes.